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More and more customers are unable to keep up with credit card payments as the recession deepens, it has been revealed.

Many of the customers are using their tax refunds to deal with other financial issues as a result of the downturn, it was further disclosed.

Figures show delinquency rate in the first quarter of the year for bank-issued credit cards rose 11 per cent, according to credit reporting agency, TransUnion.

Default rate jumped 1.32 per cent this year from 1.19 per cent in the first three months of 2008, the agency added.

The statistics measured the percentage of card holders who are three months or more past the dates their payments are due for cards bearing MasterCard and Visa logos, along with American Express and Discover cards.

It was also claimed that average total debt on bank cards also rose from $5,548 (Â£3,448) last year to $5,776 (Â£3,588).

Balances typically rise in the first quarter as holiday spending comes due, said director of consulting and strategy in TransUnionâ€™s financial services group, Ezra Becker.